Accessory dwelling units (ADUs) increase housing choice by allowing homeowners to add backyard cottages, basement apartments, and “bump-outs” to single-family lots. This moderate-cost housing gives residents such as older adults, adults with disabilities, and young people the ability to both remain independent and live close to family members while offering families with low or moderate incomes the opportunity to live in neighborhoods with high-quality public and private services. This fact sheet explores how ADUs can help the city of Louisville, Kentucky, achieve its goal of building more racially and socially equitable land-use regulations.